China Market situation and outlook

[drinkerofkoolaid]

Does Tesla currently have a large store in Chengdu or is Tesla about to open a large store in Chengdu? I was just in Chengdu.

While in a taxi from the airport, I noticed a large store and a very large sign for a Tesla store, but didn't have time to go there.

When I had time, I tried to find the store, but no-one seemed to know where it was. Tesla Motors website says a store is coming soon. I was able to find an address for a Tesla leasing center listed on a number of maps, that had recently been closed/moved, but couldn't find an address for a store.

What is the store I saw while coming from the airport? Has anyone been there?

 

[RobStark]

 

[32no]

In the last month, Tesla increased the amount of destination chargers in China from 317 to 500 (plus 9 in Hong Kong). Destination charging seems to be the main way that Tesla is tackling the Chinese perceived charging problem. I'm also wondering whether Tesla pop-up stores would be beneficial in China.

Also, why doesn't Tesla list its Chengdu store (the largest Tesla store in the world) on its website?

 

[maoing]

Elon Musk visited Beijing yesterday and met with Mayor. There might have some breakthrough to include Tesla into Beijing's free new energy plate program.

 

[Larken]

Elon Musk visited Beijing yesterday and met with Mayor. There might have some breakthrough to include Tesla into Beijing's free new energy plate program.

Any links?

 

[Auzie]

Tesla Motors Inc Sales to Boost in China

Last week, CarNewsChina reported that Tiajin has added Tesla to its selected vehicle lists, which means that the RMB 20,000 ($3,200) license plate would be offered for free by the city’s government. The company had already made the list in Shenzhen, Shanghai, Hangzhou, and Guangzhou. This means that Tesla only needs to add Beijing to its selected vehicle lists now.

 

[svp]

I was in Shenzhen this week and Uber there has a Tesla option! You have a choice between "People's Uber", "UberX", "Black" and "Tesla".
2-3 times more expensive than the cheapest "People's Uber", but note that Uber is dirt cheap over there ($2 for 15 min ride ).
I never took it, as the wait time was always too long, though.

 

[ScepticMatt]

In the last month, Tesla increased the amount of destination chargers in China from 317 to 500 (plus 9 in Hong Kong).

That map is inaccurate, they are well over 1000 for a while now. Chinese baidu map has all the points.

 

[McMuggets]

I would think Tesla sales will pick up going forward since Tesla cars are now listed as a special new energy vehicle. This means that, other than in Beijing, Tesla's are exempt from the license plate lottery system (and the crazy expensive bidding that accompanies it). It is now easier to buy a Tesla than a BMW in major cities other than Beijing (for now, apparently Beijing is expected to follow the other cities' lead in this). BMW seems to be the premium car of choice for the Chinese to show "success" ... apparently BMW = "Be My Wife" for men looking to impress the smaller population of single women. Once they realize that Tesla's are far better vehicles, they'll buy these instead and skip waiting for a lottery license plate. 2015 may be a banner year for Tesla sales numbers in China.

 

[Electrifying]

Any links?

http://news.xinhuanet.com/local/2015-05/30/c_127858321.htm

Fortune listed Beijing as the final holdout among China's mega cities that has not included the Model S in new energy vehicle subsidies list. Looks like that it may very well change this policy. Tesla Motors set to turnaround sales in China - Fortune

Also Beijing has the No 4 car company in China, maybe a JV is coming ? (http://en.wikipedia.org/wiki/Beijing_Automotive_Group)

Google Translate:

May 30, 2015 02:51:24 Source: Beijing Daily

(Reporter Xu Feipeng) yesterday afternoon, the mayor met with the CEO of Tesla Wang Anshun Mr. Andy Herron · Musker and his party.


Wang Anshun warm welcome to the guests. He said that Beijing attaches great importance to the new energy automotive industry, will serve as a long-term strategic emerging industries to develop it. The development of new energy vehicles, but also help promote the adjustment of energy structure, improve air quality. Beijing's new energy vehicles have a strong demand, a huge market. Your company is the world's leading high-tech electric car company, I hope you in China, in Beijing to achieve better development, and Beijing to jointly promote the development of new energy automotive industry.


Andy Herron · Musk said that Beijing promote the new energy automotive industry development initiatives in the world is advanced. The Chinese market is a very important market, we are willing to achieve greater development in China.

 

[sundaymorning]

I would think Tesla sales will pick up going forward since Tesla cars are now listed as a special new energy vehicle. This means that, other than in Beijing, Tesla's are exempt from the license plate lottery system (and the crazy expensive bidding that accompanies it). It is now easier to buy a Tesla than a BMW in major cities other than Beijing (for now, apparently Beijing is expected to follow the other cities' lead in this). BMW seems to be the premium car of choice for the Chinese to show "success" ... apparently BMW = "Be My Wife" for men looking to impress the smaller population of single women. Once they realize that Tesla's are far better vehicles, they'll buy these instead and skip waiting for a lottery license plate. 2015 may be a banner year for Tesla sales numbers in China.

Although some Chinese men may buy a Bimmer to attract mates, there are numerous other easons why men as well as women buy this brand. BMWs are considered the trophy car anywhere, not just China. Bimmers are stylish, luxurious and performs admirably (although reliability is suspect) and Elon did not just coin the term "the 3 series killer" for gen 3 out of thin air, BMW being the trophy car in any society does have its merits and the Chinese buy them because they love the brand. Plenty of married men as well as women drive BMW, I wouldn't equate a female Bimmer driver as looking for a husband.

Its all all in the brand, and the Chinese love established brands. Chinese women are large consumers of Louis Vuitton, Channel, etc. and these brands are symbols of success, but I wouldn't conclude that the Chinese population of females carrying or driving branded goods are looking to attract husbands. This is a misconception, the appearance of success gives you influence and that is something any smart businessman or woman would seek.

As far a shortages of Chinese women goes, wives can be bought in China, many individuals take the route of looking outside China for wives, for example Thailand, Cambodia, Laos, Vietnam, etc.

 

[GutenYe]

In the last month, Tesla increased the amount of destination chargers in China from 317 to 500 (plus 9 in Hong Kong). Destination charging seems to be the main way that Tesla is tackling the Chinese perceived charging problem. I'm also wondering whether Tesla pop-up stores would be beneficial in China.

Also, why doesn't Tesla list its Chengdu store (the largest Tesla store in the world) on its website?

The correct figure is 1353 destination chargers, 66 superchargers, and 195 home chargers shared by Tesla owners, which is 1614 in total. You can find it in http://www.chargerlink.com/site/map/, ChargerLink is the official Tesla partner in China for install chargers.

 

[McMuggets]

I completely agree. I didn't mean to say that BMW's are only meant to attract wives or husbands. Of course it is a symbol of success and prestige in more places than just China. A simple look at the statistics of sales for BMW and we can easily see it is a worldwide trophy brand. Thanks for making this all clear.

 

[Auzie]

Although some Chinese men may buy a Bimmer to attract mates, there are numerous other easons why men as well as women buy this brand. BMWs are considered the trophy car anywhere, not just China. Bimmers are stylish, luxurious and performs admirably (although reliability is suspect) and Elon did not just coin the term "the 3 series killer" for gen 3 out of thin air, BMW being the trophy car in any society does have its merits and the Chinese buy them because they love the brand. Plenty of married men as well as women drive BMW, I wouldn't equate a female Bimmer driver as looking for a husband.

Its all all in the brand, and the Chinese love established brands. Chinese women are large consumers of Louis Vuitton, Channel, etc. and these brands are symbols of success, but I wouldn't conclude that the Chinese population of females carrying or driving branded goods are looking to attract husbands. This is a misconception, the appearance of success gives you influence and that is something any smart businessman or woman would seek.

As far a shortages of Chinese women goes, wives can be bought in China, many individuals take the route of looking outside China for wives, for example Thailand, Cambodia, Laos, Vietnam, etc.

That's an interesting theory, buying a car to attract a mate. We live in a complicated asymmetrical world, different baits for different species. I'd fall off my chair if I met a female who tried to attract a mate that way, and I'd fall off even further if she were successful. Unfortunately, I would not fall off my chair if a male used the car as a bait.

There is a marriage squeeze happening around the world, and China and India may feel that squeeze more than other societies. Marriage squeeze effect is similar to shorts squeeze, there is simply not enough females in the marriage market to match the demand, for multiple reasons. I will not elaborate on the topic too much, as that is a social phenomenon that may not have any influence on the car market.

I completely agree. I didn't mean to say that BMW's are only meant to attract wives or husbands. Of course it is a symbol of success and prestige in more places than just China. A simple look at the statistics of sales for BMW and we can easily see it is a worldwide trophy brand. Thanks for making this all clear.

In a society in which majority of people drive good cars, the prestige marker moves to something other than cars. I would not consider BMW a trophy car in most developed countries, it certainly does not stand out on Sydney roads. BMW has a strong brand and that is likely influencing buyers everywhere.

 

[Gerasimental]

That's an interesting theory, buying a car to attract a mate. We live in a complicated asymmetrical world, different baits for different species. I'd fall off my chair if I met a female who tried to attract a mate that way, and I'd fall off even further if she were successful. Unfortunately, I would not fall off my chair if a male used the car as a bait.

She'd be very likely to succeed with me if she had a Tesla.

 

[Auzie]

She'd be very likely to succeed with me if she had a Tesla.

It might be an idea to buy a Tesla yourself if you are after a car, it might be much cheaper in the long run

It will be an interesting society when all things nice are equally affordable to all, what sort of trading can happen then

 

[Gerasimental]

It might be an idea to buy a Tesla yourself if you are after a car, it might be much cheaper in the long run

It will be an interesting society when all things nice are equally affordable to all, what sort of trading can happen then

Graduating university in 2 weeks, even a Model 3 would be a stretch right now and any spare money I do have is long in TSLA.
Driving a used '97 Jag XJ (yes, the fuel economy is shocking!) that I found for sale well below value until I can step up to a Model 3 or perhaps another EV if a compelling affordable alternative appears in the next few years.

Slightly on-topic: My mother recently returned from one of her visits to China and made sure to quiz her hosts (researchers in life sciences) about their perception of Tesla on my behalf. The answers echo other circumstantial evidence in this thread that the informed, educated classes in China are extremely knowledgable and excited about the company and the products. (Similar story in Japan!)

 

[McMuggets]

That's an interesting theory, buying a car to attract a mate. We live in a complicated asymmetrical world, different baits for different species. I'd fall off my chair if I met a female who tried to attract a mate that way, and I'd fall off even further if she were successful. Unfortunately, I would not fall off my chair if a male used the car as a bait.

There is a marriage squeeze happening around the world, and China and India may feel that squeeze more than other societies. Marriage squeeze effect is similar to shorts squeeze, there is simply not enough females in the marriage market to match the demand, for multiple reasons. I will not elaborate on the topic too much, as that is a social phenomenon that may not have any influence on the car market.



In a society in which majority of people drive good cars, the prestige marker moves to something other than cars. I would not consider BMW a trophy car in most developed countries, it certainly does not stand out on Sydney roads. BMW has a strong brand and that is likely influencing buyers everywhere.

I do hope that the new rules for Tesla's vehicles help to sell more Tesla's in China. In China BMW is still a prestige brand regardless of developed nations views on BMW's. We need Tesla's to become one of the prestige brands as well for Tesla to do big sales in China. The Chinese society is more attuned to outward displays of wealth and success, and I am not making this up as many friends and family are testament to this. When I say Chinese, I mean more mainland Chinese and less Hong Kong. For instance, when Burberry decided to target Chinese buyers they made major increases in the amount of designs where their trademark plaid is pretty much plastered all over their jackets, bags, pants, purses, etc. This wasn't a mistake, they were playing to the Chinese market. It is what it is.... the question is how Tesla can attain a level of prestige to attract more China sales. More and more successful people driving Teslas will certainly help. Perhaps a celebrity or two. I certainly think my P85D carries some prestige in Canada. And some of my friends who thought of BMW or Mercs are now resigned that their next car is going to be a Tesla. Time will tell.

 

[atang]

Graduating university in 2 weeks, even a Model 3 would be a stretch right now and any spare money I do have is long in TSLA.
Driving a used '97 Jag XJ (yes, the fuel economy is shocking!) that I found for sale well below value until I can step up to a Model 3 or perhaps another EV if a compelling affordable alternative appears in the next few years.

Slightly on-topic: My mother recently returned from one of her visits to China and made sure to quiz her hosts (researchers in life sciences) about their perception of Tesla on my behalf. The answers echo other circumstantial evidence in this thread that the informed, educated classes in China are extremely knowledgable and excited about the company and the products. (Similar story in Japan!)

Thanks for the on the ground positive news of Tesla in China/Japan, well thanks to your Mom as well!:smile: And of course good luck in your new career and that long TSLA position! :wink:

 

[Auzie]

Graduating university in 2 weeks, even a Model 3 would be a stretch right now and any spare money I do have is long in TSLA.
Driving a used '97 Jag XJ (yes, the fuel economy is shocking!) that I found for sale well below value until I can step up to a Model 3 or perhaps another EV if a compelling affordable alternative appears in the next few years.

Slightly on-topic: My mother recently returned from one of her visits to China and made sure to quiz her hosts (researchers in life sciences) about their perception of Tesla on my behalf. The answers echo other circumstantial evidence in this thread that the informed, educated classes in China are extremely knowledgable and excited about the company and the products. (Similar story in Japan!)

Congratulations on completing your studies. You'll soon be able to buy a whole fleet of Tesla's so make sure not to get caught by any of the girls chasing after your fancy cars:wink: Or if you prefer, make sure they catch you. Anyway good to have choices.